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JDS Uniphase (JDU.TO)

DON'T BUY
Feels their business is turning. The optical business in the communications side is showing some acceleration. Expensive with a valuation of 5 X sales and 98 X next year's earnings. Margins are paper thin.
DON'T BUY
Despite some diversification, he still doesn't think there is much growth in this stock. The valuation is relatively high. Current markets are not there for them.
BUY
Almost a proxy for all the good/bad stuff that happened in the last bubble. Made a very interesting acquisition when they took over Acterna. Set them up very nicely. Pretty well positioned and ultimately, if the backbone is going to be upgraded, this company is absolutely in there. Will probably be a good investment to have over the next few years.
DON'T BUY
Earnings have not dramatically improved. Stock is probably moving on a sentiment shift in the market rather than fundamentals. Believes there is a capital spending cycle coming on the telecommunications side, but the question is, who was going to benefit from it. Isn't seeing any robust demand for fiber optics.
DON'T BUY
JDS Uniphase is a speculative stock. Still working out a lot of issues with their over-expansion and the difficulties they got into from the past. Very competitive environment now compared to the past. There has been signs of recovery. He would not be interested in holding.
DON'T BUY
JDS Uniphase is a busness that has over a billion cash and 6 billion dollar market cap, but it is still not making money. Recommends not to buy.
WAIT
Come back from deep. Trend is decent. Watch for a pull back. Picture developing nicely. Starting to come around.
DON'T BUY
The stock has had a decent move up off the bottom. Doesn't see that there is that much in the product portfolio right now. There is nothing really happening on the capital expenditure equipment, especially the fibre. There is still a massive amount of shares outstanding.
DON'T BUY
From a technical analyst prospective seems to have turned the corner. It only ranks 375 in his database. The last four quarters of earnings have been negative at minus 11% and there was a minus 3% surprise in the most recent quarter. It looks like they will have a 60 P/E which is very expensive.
DON'T BUY
Ranks about in the middle of his database. Earnings have been revised downwards by about 6% in the last 90 days. Most recent earnings were down about 46%. From Jun/06 earnings are expected to go from -$0.08 to break even. Looking out to Jun/07, earnings estimates are $0.06 giving a 53 P/E.
DON'T BUY
His technical analyst does not see any value in this company. There are better alternatives.
DON'T BUY
Has been in a horizontal trading range since 2002. If it breaks through $3 there will be a lot of people getting excited about it. The company is going through a reverse split which has a stigma to it.
DON'T BUY
Had gone through a death spiral since the end of the 90's when they were making so much money off the optical components for Nortel (NT-T) and others. Had tons of cash and used some of it to make an acquisition which is working out well. There is now some improvement in demand for optical components. Not earning money yet. Too expensive.
DON'T BUY
Won't ever be the company that it was.
DON'T BUY
Recently had a reverse split. Typically, consolidations historically, have a negative connotation on stock prices. Not the time to buy yet. This stock ranks just below neutral in his quant model, so it has improved substantially over the last little while, but the year over year earnings growth is still negative.
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